Reviewed and Approved

Transcription

1 Action Plan Grantee: Grant:, AZ B-11-UN LOCCS Authorized Amount: Grant Award Amount: $ 3,168, $ 3,168, Status: Reviewed and Approved Estimated PI/RL Funds: $ 0.00 Total Budget: $ 3,168, Funding Sources No Funding Sources Found Narratives Summary of Distribution and Uses of NSP Funds: will undertake, in combination, the following NSP3 Eligible Activities to assist owner households in the identified target areas. A. Financing Mechanisms - Direct Homebuyer Assistance, including Additional Subsidy after matching Down Payment Assistance, Closing Cost Assistance, Direct Loans, and Rehabilitation Assistance; B. Redevelopment of vacant property for housing; C. Program Planning and Administration. determined that providing Direct Loans was not an option. We worked very hard to locate Bankers that would make smaller loans and would work with participants to help them become financeable by banking standards. We also partnered with Habitat for Humanity Central Arizona to assist them in the purchase of 4 more houses that would be re-sold to households with income below 50% of County Median Income. This was the target group that experienced the most challenges in locating viable homes and obtaining loan approval. How Fund Use Addresses Market Conditions: The goals of the NSP3 activities are to stabilize the housing market in target areas by: 1. Attracting new owner-occupants to target areas, including middle-income households; 2. Increasing the homeownership rate and leveraging opportunities for private lending 3. Redeveloping and reoccupying vacant properties; 4. Improving properties and property values, thereby also stabilizing the tax base. Ensuring Continued Affordability: The period of affordability will be based on the amount of permanent subsidy invested in the property, and will vary from 5 to 15 years based on the following formula. The period of affordability shall be based on the total NSP3 resources invested in the property. Amount of Subsidy and Affordability Period $15,000 or less 5 years $15,001 - $40, years $40,001 or more 15 years Definition of Blighted Structure: The State of Arizona does not define "blighted structures" but defers to the code enforcement standards of local government. Accordingly, has defined a blighted structure as follows: &ldquoa structure is blighted when it exhibits objectively determinable signs of deterioration sufficient to constitute a threat to human health, safety and public welfare.&rdquo 1

2 Definition of Affordable Rents: The County defines affordable rents as consistent with the definition adopted for the State of Arizona Housing Fund Program. Affordable rents are the lesser of the Fair Market Rent (FMR) or 50% Rent Limit for the HOME program, including utilities, based on the number of bedrooms in the unit. will not invest NSP3 resources in rental housing. Housing Rehabilitation/New Construction Standards: has adopted the State of Arizona housing rehabilitation standards. The standards may be found online at In addition the County will incorporate green building and energy-efficiency standards into all work write-ups. For all gut rehabilitation or new construction, design will meet the standards for Energy Star Qualified Homes. For other rehabilitation, the County will incorporate energyefficiency specifications to ensure Energy Star-labeled products are installed. Water efficient toilets, showers, and faucets will also be installed. In addition to rehabilitation standards, properties shall meet all local codes and ordinances. Vicinity Hiring: We have procured the services of many contractors who will bid to obtain contracts for housing rehabilitation. These contractors are aware of Section 3 requirements under this grant. We have made a good faith effort to encourage more local contractors to apply for approval with. We reached out to all Realtors because they generally work with local handymen to correct and repair home issues for sale preparation. At our public events to educate the public about our NSP3 program- Annual Resource Round Up, Monthly Housing Meetings, Realtor Meetings- we mentioned that we invite more local contractors to apply. We received more applications and did add more local contractors to the vicinities designated in the grant (Apache Junction, Coolidge, and Casa Grande.) Many local contractor applicants are very small shops that did not carry the required insurance coverage that requires. Time restraints were a concern as well because we had very little time from when a participant purchased a home, bidding process was completed, rehabilitation work was completed by awarded contractors, to the time when participants could finally move into the home they bought. In addition to contractors who did the rehabilitation work, our grant provided many local Realtors, Bankers, Title Companies, Appraisers, Home Inspectors, and Home Insurance Agencies the opportunities for much business. This grant was a very collaborative effort including many facets of the community. Procedures for Preferences for Affordable Rental Dev.: We do not plan to have affordable rental development as an activity. Grantee Contact Information: Adeline Allen, 970 North Eleven Mile Corner Road, Casa Grande, AZ 85194, desk/ , FAX/ , cell/ adeline.allen@pinalcountyaz.gov, Project Summary Project # Project Title Grantee Activity # Activity Title 9999 Restricted Balance No activities in this project Admin Administration Admin Administration FM LHI <50% Financing Mechanisms LHI < 50% AMI FM LHI < 50% Financing Mechanisms < 50% (CC, DP, HR) HFH FM LHI <50% HFH FM LHI <50% FM LMMI < 80% FM LMMI < 80% DPA <80 Direct Assistance 51-80% AMI - CANCELLED FM LMMI <120% Financing Mechanisms LMMI <120% FM LMMI <120% Financing Mechanisms >50% - <120% (CC, DP, HR) RVP Redevelop Vacant Property - <50% RVP Redevelop Vacant Property <50% AMI 2

3 Activities Project # / Title: Admin / Administration Grantee Activity Number: Activity Title: Admin Administration Activitiy Type: Administration Project Number: Admin Projected Start Date: 03/16/2011 Project Draw Block by HUD: Activity Draw Block by HUD: Block Drawdown By Grantee: National Objective: Not Applicable - (for Planning/Administration or Unprogrammed Funds only) Environmental Assessment: EXEMPT Activity Status: Completed Project Title: Administration Projected End Date: 03/15/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: Total Budget: $ 316, Other Funds Total: $ 0.00 Total Funds Amount: $ 316, Benefit Report Type: NA Activity is being carried out by Grantee: Yes Organization carrying out Activity: Activity is being carried out through: Grantee Employees and Contractors Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Local Government $ 316, Location Description: 970 North Eleven Mile Corner Road, Casa Grande, AZ Activity Description: 3

4 Administration of NSP3 Grant These funds were applied towards payroll for staff working either full time or part time, supplies, equipment, back office support, and other eligible expenses. Project # / Title: FM LHI <50% / Financing Mechanisms LHI < 50% AMI Grantee Activity Number: Activity Title: FM LHI < 50% Financing Mechanisms < 50% (CC, DP, HR) Activitiy Type: Homeownership Assistance to low- and moderate-income Project Number: FM LHI <50% Projected Start Date: 03/16/2011 Project Draw Block by HUD: Activity Draw Block by HUD: Block Drawdown By Grantee: National Objective: LH25: Funds targeted for housing for households whose incomes are at or under 50% Area Median Income. Environmental Assessment: COMPLETED Activity Status: Completed Project Title: Financing Mechanisms LHI < 50% AMI Projected End Date: 03/15/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: Total Budget: $ 409, Other Funds Total: $ 0.00 Total Funds Amount: $ 409, Benefit Report Type: Direct (Households) Proposed Beneficiaries Total Low Mod Low/Mod% # Owner Households 7 7 # of Households 7 7 Proposed Accomplishments Total # of Singlefamily Units 7 # of Housing Units 7 4

5 Activity is being carried out by Grantee: Yes Organization carrying out Activity: Activity is being carried out through: Grantee Employees and Contractors Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Local Government $ 409, Location Description: Cities of Apache Junction, Casa Grande and Coolidge, located in Arizona. Designated target areas within the cities of Apache Junction, Casa Grande, and Coolidge, located in, Arizona, and according to HUD guidelines using HUD's GIS Mapping Tool. Maps available as an attachment here, on Website under Neighborhood Stabilization Grant (NSP3), or at the Housing and Community Development Office located at: 970 N. Eleven Mile Corner Rd., Casa Grande, AZ Brief descriptions listed below: Apache Junction - North of E. Southern Ave.; South of W. 16th Ave.; West of S. Idaho Rd.: and East of S. Delaware Dr. Coolidge - North of E. Kenilworth Rd./W. Coolidge Ave.; South of E. Vah Ki Inn Rd.; West of S. Main St./N. Main St.; and East of N. Skousen Rd. Casa Grande #1 - In THREE Parts - refer to maps for details 1-North of E. 8th St.; South of E. Cottonwood Ln.; West of N. Arizola Rd.; and East of N. Trekell Rd. 2- North of E. Cottonwood Ln.; South of W. Kortsen Rd.; West of N. Arizola Rd.; East of N. Peart Rd. 3- North of W. Kortsen Rd.; South of E. Rodeo Rd.; West of County Rd.; and East of N. Peart Rd. Casa Grande #2 - North of E. Rodeo Rd.; South of W. McCartney Rd.; West of N. Peart Rd.; and East of N. Colorado St. Activity Description: Assistance for households with 50% or less County Median Income. Assistance is in three forms: 1-Up to one half (1/2) of Down Payment Assistance as required by lender and/or additional subsidy in the form of mortgage buy down to make home affordable - not to exceed a total of 20% of Sales Price total contribution. 2- Closing Cost Assistance not to exceed $5, Rehabilitation to Home as determined by NSP3 Program created Scope of Work and Approved by Participants (Buyers)-initially not to exceed $25,000. Later we amended this amount be increased on a case by case basis not to exceed $50,000. This was needed because many homes needed major work - replaced plumbing from copper theft vandalism, new electrical because old was not to code, new roofs, Asbestos remediation, new flooring, new counters from vandalism, etc. Grant participants were required to bring a minimum of 1% of Sales Price of their own contributions into the sales transaction from either the Down Payment or Closing Costs. This is a Direct Home Buyer Assistance Program. The grant participant completes the 8-hour home buyer education requirement, applies for a mortgage with a bank, and once approved for a mortgage selects a Realtor to work with to find a home located within one of the 3 (three) cities specifically mapped target areas (maps attached). Once the offer is made, Pinal County Neighborhood Stabilization (NSP3) team, documents that the home is eligible because it is either foreclosed or vacant, within the target areas, and passes a specific property environmental report. The rehabilitation specialist prepares a scope of work that is presented to the home buyer/grant participant to sign off as approved for the sale to continue. A NSP3 teams prepares a Note and Deed of Trust to be in 2nd position to the primary mortgage financing. This amount will be determined by the appraised value of property minus the first mortgage. The County financed Note is a No Interest, Forgivable agreement and the forgivability period is based on the amount of the note: Anywhere from 5 (five) to twenty years. At the end of this time frame, if all terms of the Note and Deed are met, the amount will be forgiven. If the home owner/grant participant decides to sell the home or no longer occupy the home before the end of the affordability period, the full amount of the Note will be recaptured. 5

6 Activity Supporting Documents Document Name: Apache Junction - Map-opt.pdf Document Name: Casa Grande 1 - Map-opt.pdf Document Name: Casa Grande 2 - Map-opt.pdf Document Name: Coolidge - Map-opt.pdf 6

7 Grantee Activity Number: Activity Title: HFH FM LHI <50% HFH FM LHI <50% Activitiy Type: Rehabilitation/reconstruction of residential structures Project Number: FM LHI <50% Projected Start Date: 05/29/2013 Project Draw Block by HUD: Activity Draw Block by HUD: Block Drawdown By Grantee: National Objective: LH25: Funds targeted for housing for households whose incomes are at or under 50% Area Median Income. Environmental Assessment: COMPLETED Activity Status: Completed Project Title: Financing Mechanisms LHI < 50% AMI Projected End Date: 03/07/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: Total Budget: $ 328, Other Funds Total: $ 0.00 Total Funds Amount: $ 328, Benefit Report Type: Direct (Households) Proposed Beneficiaries Total Low Mod Low/Mod% # Owner Households 4 4 # of Households 4 4 Proposed Accomplishments Total # of Singlefamily Units 4 # of Housing Units 4 # of Properties 4 Activity is being carried out by Grantee: No Organization carrying out Activity: Habitat for Humanity Activity is being carried out through: Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Habitat for Humanity Non-Profit $ 328, Local Government $ 0.00 Location Description: 7

8 Cities of Apache Junction, Casa Grande and Coolidge, located in Arizona. Designated target areas within the cities of Apache Junction, Casa Grande, and Coolidge, located in, Arizona, and according to HUD guidelines using HUD's GIS Mapping Tool. Maps available as an attachment here, on Website under Neighborhood Stabilization Grant (NSP3), or at the Housing and Community Development Office located at: 970 N. Eleven Mile Corner Rd., Casa Grande, AZ Brief descriptions listed below: Apache Junction - North of E. Southern Ave.; South of W. 16th Ave.; West of S. Idaho Rd.: and East of S. Delaware Dr. Coolidge - North of E. Kenilworth Rd./W. Coolidge Ave.; South of E. Vah Ki Inn Rd.; West of S. Main St./N. Main St.; and East of N. Skousen Rd. Casa Grande #1 - In THREE Parts - refer to maps for details 1-North of E. 8th St.; South of E. Cottonwood Ln.; West of N. Arizola Rd.; and East of N. Trekell Rd. 2- North of E. Cottonwood Ln.; South of W. Kortsen Rd.; West of N. Arizola Rd.; East of N. Peart Rd. 3- North of W. Kortsen Rd.; South of E. Rodeo Rd.; West of County Rd.; and East of N. Peart Rd. Casa Grande #2 - North of E. Rodeo Rd.; South of W. McCartney Rd.; West of N. Peart Rd.; and East of N. Colorado St. Activity Description: Habitat for Humanity Central Arizona (HFHCAZ) will purchase foreclosed and/or vacant properties within the designated HUD GIS Target areas. will reimburse them for purchase. Habitat will rehabilitate homes. If needed and as funds are available, may participate in rehabilitation on a limited basis. HFHCAZ will sell homes to NSP3 qualified households that are < 50% County Median Income. HFHCAZ will provide Zero Interest mortgage loans to these qualified buyers. Activity Supporting Documents Document Name: Apache Junction - Map-opt.pdf Document Name: Casa Grande 1 - Map-opt.pdf Document Name: Casa Grande 2 - Map-opt.pdf Document Name: Coolidge - Map-opt.pdf Project # / Title: FM LMMI < 80% / FM LMMI < 80% Grantee Activity Number: Activity Title: DPA <80 Direct Assistance 51-80% AMI - CANCELLED Activitiy Type: Homeownership Assistance to low- and moderate-income Project Number: FM LMMI < 80% Projected Start Date: 03/16/2011 Project Draw Block by HUD: Activity Draw Block by HUD: Activity Status: Cancelled Project Title: FM LMMI < 80% Projected End Date: 03/15/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: 8

9 Block Drawdown By Grantee: National Objective: LMMI: Low, Moderate and Middle Income National Objective for NSP Only Environmental Assessment: COMPLETED Total Budget: $ 0.00 Other Funds Total: $ 0.00 Total Funds Amount: $ 0.00 Benefit Report Type: Direct (Households) Proposed Beneficiaries Total Low Mod Low/Mod% # Owner Households 0.0 # of Households 0.0 Proposed Accomplishments # of Singlefamily Units Total # of Housing Units Activity is being carried out by Grantee: No Organization carrying out Activity: Activity is being carried out through: Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Local Government $ 0.00 Location Description: This Activity was abandoned and funds re-allocated to FM LMMI < 120%. Activity Description: Initially this was to be "Down payment assistance for households 51-80% AMI." However this Activity was abandoned and funds re-allocated to FM LMMI < 120%. There was no reason to separate households incomes between < 80% and <120% because both categoreis fall under LMMI Income Levels. Project # / Title: FM LMMI <120% / Financing Mechanisms LMMI <120% AMI Grantee Activity Number: FM LMMI <120% Activity Title: Financing Mechanisms >50% - <120% (CC, DP, HR) 9

10 Activitiy Type: Homeownership Assistance to low- and moderate-income Project Number: FM LMMI <120% Projected Start Date: 03/16/2011 Project Draw Block by HUD: Activity Draw Block by HUD: Block Drawdown By Grantee: National Objective: LMMI: Low, Moderate and Middle Income National Objective for NSP Only Environmental Assessment: COMPLETED Activity Status: Completed Project Title: Financing Mechanisms LMMI <120% AMI Projected End Date: 03/15/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: Total Budget: $ 1,856, Other Funds Total: $ 0.00 Total Funds Amount: $ 1,856, Benefit Report Type: Direct (Households) Proposed Beneficiaries Total Low Mod Low/Mod% # Owner Households # of Households Proposed Accomplishments Total # of Singlefamily Units 35 # of Housing Units 35 Activity is being carried out by Grantee: No Organization carrying out Activity: Activity is being carried out through: Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Local Government $ 1,856, Location Description: Cities of Apache Junction, Casa Grande and Coolidge, located in Arizona. Designated target areas within the cities of Apache Junction, Casa Grande, and Coolidge, located in, Arizona, and according to HUD guidelines using HUD's GIS Mapping Tool. Maps available as an attachment here, on Website under Neighborhood Stabilization Grant (NSP3), or at the Housing and Community Development Office located at

11 N. Eleven Mile Corner Rd., Casa Grande, AZ Brief descriptions listed below: Apache Junction - North of E. Southern Ave.; South of W. 16th Ave.; West of S. Idaho Rd.: and East of S. Delaware Dr. Coolidge - North of E. Kenilworth Rd./W. Coolidge Ave.; South of E. Vah Ki Inn Rd.; West of S. Main St./N. Main St.; and East of N. Skousen Rd. Casa Grande #1 - In THREE Parts - refer to maps for details 1-North of E. 8th St.; South of E. Cottonwood Ln.; West of N. Arizola Rd.; and East of N. Trekell Rd. 2- North of E. Cottonwood Ln.; South of W. Kortsen Rd.; West of N. Arizola Rd.; East of N. Peart Rd. 3- North of W. Kortsen Rd.; South of E. Rodeo Rd.; West of County Rd.; and East of N. Peart Rd. Casa Grande #2 - North of E. Rodeo Rd.; South of W. McCartney Rd.; West of N. Peart Rd.; and East of N. Colorado St. Activity Description: Assistance for households with greater than 51% and less than 120% AMI Assistance is in three forms: 1-Up to one half (1/2) of Down Payment Assistance as required by lender and/or additional subsidy in the form of mortgage buy down to make home more affordable - not to exceed a total of 20% of Sales Price total contribution. 2- Closing Cost Assistance not to exceed $5, Rehabilitation to Home as determined by NSP3 Program created Scope of Work and Approved by Participants (Buyers)-initially not to exceed $25,000. Later we amended this amount be increased on a case by case basis not to exceed $50,000. This was needed because many homes needed major work - replaced plumbing from copper theft vandalism, new electrical because old was not to code, new roofs, Asbestos remediation, new flooring, new counters from vandalism, etc. Grant participants were required to bring a minimum of 1% of Sales Price of their own contributions into the sales transaction from either the Down Payment or Closing Costs. This is a Direct Home Buyer Assistance Program. The grant participant completes the 8-hour home buyer education requirement, applies for a mortgage with a bank, and once approved for a mortgage selects a Realtor to work with to find a home located within one of the 3 (three) cities specifically mapped target areas (maps attached). Once the offer is made, Pinal County Neighborhood Stabilization (NSP3) team, documents that the home is eligible because it is either foreclosed or vacant, within the target areas, and passes a specific property environmental report. The rehabilitation specialist prepares a scope of work that is presented to the home buyer/grant participant to sign off as approved for the sale to continue. A NSP3 teams prepares a Note and Deed of Trust to be in 2nd position to the primary mortgage financing. This amount will be determined by the appraised value of property minus the first mortgage. The County financed Note is a No Interest, Forgivable agreement and the forgivability period is based on the amount of the note: Anywhere from 5 (five) to twenty years. At the end of this time frame, if all terms of the Note and Deed are met, the amount will be forgiven. If the home owner/grant participant decides to sell the home or no longer occupy the home before the end of the affordability period, the full amount of the Note will be recaptured. Activity Supporting Documents Document Name: Apache Junction - Map-opt.pdf Document Name: Casa Grande 1 - Map-opt.pdf Document Name: Casa Grande 2 - Map-opt.pdf 11

12 Document Name: Coolidge - Map-opt.pdf Project # / Title: RVP / Redevelop Vacant Property - <50% AMI Grantee Activity Number: Activity Title: RVP Redevelop Vacant Property <50% AMI Activitiy Type: Homeownership Assistance to low- and moderate-income Project Number: RVP Projected Start Date: 03/16/2011 Project Draw Block by HUD: Activity Draw Block by HUD: Block Drawdown By Grantee: National Objective: LH25: Funds targeted for housing for households whose incomes are at or under 50% Area Median Income. Environmental Assessment: COMPLETED Activity Status: Completed Project Title: Redevelop Vacant Property - <50% AMI Projected End Date: 03/15/2014 Project Draw Block Date by HUD: Activity Draw Block Date by HUD: Total Budget: $ 257, Other Funds Total: $ 0.00 Total Funds Amount: $ 257, Benefit Report Type: Direct (Households) Proposed Beneficiaries Total Low Mod Low/Mod% # Owner Households 3 3 # of Households 3 3 Proposed Accomplishments Total # of Singlefamily Units 3 # of Housing Units 3 Activity is being carried out by Grantee: No Organization carrying out Activity: Habitat for Humanity Activity is being carried out through: Proposed budgets for organizations carrying out Activity: Responsible Organization Organization Type Proposed Habitat for Humanity Non-Profit $ 357,

13 Local Government $ 0.00 Location Description: Apache Junction, AZ. Designated target areas within the city of Apache Junction, located in Arizona, and according to HUD guidelines using HUD's GIS Mapping Tool. Map available for view as an attachment here, on Pinal Ounty Website under Neighborhood Stabilization Program (NSP3), or at the Housing and Community Development Office located at: 970 N. Eleven Mile Corner Rd., Casa Grande, AZ Brief description is listed below: Apache Junction - North of E. Southern Ave.; South of W. 16th Ave.; West of S. Idaho Rd.; and East of S. Delaware Dr. Activity Description: Assistance to households at 50% or less than AMI The proposed budget is higher than the actual budget because we did fewer homes than anticipated in this activity. partnered with Habitat for Humanity Central Arizona (HFHCA) to construct new homes on three vacant lots that HFHCAZ had acquired earlier. The cul-de-sac had 6 (six) homes built with 5 (five) empty lots. Habitat owned 3 (three) of the empty lots and made an effort to acquire the other 2 (two) empty lots but they were not for sale. HFHCAZ made an effort to locate 2 (two) other vacant lots within the specific targeted area of Apache Junction to build homes on but were unable to do so. This is why only 3 homes were completed instead of the 5 (five) homes we initially wanted to build. We later partnered with HFHCAZ again toward the end of our program to help assist more households, 50% County Median Income. Activity Supporting Documents Document Name: Apache Junction - Map-opt.pdf Action Plan Comments: Reviewer - No modifications. Reviewer - Action Plan approved; County regrouped activities and adjusted budgets. Reviewer - Reviewer - Modified AP reviewed and approved; reduced number of projects and activities to facilitate accurate reporting by avoiding triplicate borrower reporting on finance mechanisms. AP approved and returned to Grantee for further modification. Reviewer - AP reviewed and approved. Adjusted activity budgets and added new activity under the FM LHI <50% project for Habitat for Humanity. Reviewer - 1/15/14 Marilee Hansen: The AP does not include a description of the target areas. Reviewer - Grantee provided documentation of comments by Marilee. All areas of concerned outlined were addressed. 13

14 Action Plan History Version Date B-11-UN AP#1 04/18/2014 B-11-UN AP#2 03/07/2014 B-11-UN AP#3 01/15/2014 B-11-UN AP#4 10/29/2013 B-11-UN AP#5 09/05/2013 B-11-UN AP#6 08/19/2013 B-11-UN AP#7 02/07/2012 B-11-UN AP#8 01/31/2012 B-11-UN AP#9 10/26/